In Re Application for an Order Enforcing Administrative Subpoena, (United States District Court for the Southern District of Florida, Docket No. 1:10-mc-20444)

The Securities and Exchange Commission announced today that, on February 11, 2010, it filed an application in the United States District Court for the Southern District of Florida for an order enforcing administrative subpoena served on Christian Gallo of Staten Island, New York.

The Commission's application and supporting papers allege that, on February 5, 2009, the Commission issued a Formal Order of Private Investigation entitled, In the Matter of BIH Corporation. BIH is a Nevada corporation based in Fort Myers, Florida, which purports to be a holding company in the restaurant and hospitality industry. Its stock is publicly trading in the over-the-counter markets. BIH's stock is not registered with the Commission, nor does the company file reports with the Commission. According to the Commission's application and supporting papers, its staff is investigating, among other things, whether any persons or entities, including but not limited to Gallo, committed violations of the registration and antifraud provisions of the federal securities laws relating to the offer, purchase or sales of BIH securities.

According to the Commission's application, BIH's press releases claim that a Cris Galo is its president and chief executive officer. However, during the Commission's investigation it was alleged that Gallo is BIH's president and chief executive officer. On September 22, 2009, and again on November 4, 2009, the Commission issued investigative subpoenas to Gallo in the course of its investigation into possible violations of the antifraud and securities registration provisions of the federal securities laws. The subpoenas required Gallo to produce documents relevant to the investigation and to appear before the Commission staff for testimony. The Commission alleges that Gallo, as of the date of its application, failed to produce any of the subpoenaed documents and failed to appear for testimony. According to the Commission's application, Gallo has no valid justification for his failure to comply with the subpoenas, and a court order is necessary to compel him to produce the subpoenaed documents and to appear for testimony.